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The auto industry slackened with the Central Board of excise and Customs (CBEC) revising the custom duty rates of the imported motorcycles. The rates were slashed down by 25 percent for motorcycles above 800CC and 10 percent for motorcycles below 800CC.
The restructuring of the rates also seemed to promote the Make in India initiative to promote local assembling in the country with the rates on parts such as the engine, gearbox and transmission mechanism on CKD bikes which are not pre-assembled being increased from 10 percent to 15 percent.
The effect was immediately seen with Harley-Davidson announcing a decrease in its current prices for its touring and CVO models, the pricing being reduced between Rs 2.62-3.73 lakh.
The reduced rates have resulted into the top of the cruisers to witness a fall in their prices. Road King which was previously retailed at Rs. 28.37 lakh is now in the stores for Rs. 24.99 lakh a total price reduction of Rs. 3.38 lakh. The Street Glide Special previously being sold for Rs. 33.50 lakh can now be bought for Rs. 29.99 lakh. Similarly the prices of Road Glide Special and CVO Limited have become cheaper by Rs. 2.62 lakh and Rs. 3.73 lakh respectively.
*the above mentioned models are the only imported CBU models in the Harley-Davidson Indian line up.
The new revised rates have been brought into effect immediately since the motorcycles are being sold at the changed rates.
Though the rates have been brought down by CBEC the thought process of the American President Donald Trump states otherwise, while addressing to the members of Congress Trump said, ‘we should have reciprocal tax, since our tax slab for exporting motorcycles from India to America is nothing.’
The high-end motorcycle company Harley-Davidson was also in the headlines for launching three of its new models of the Softail family.